MIDEAST STOCKS-Gulf markets may rebound, investors gather in Saudi

Reuters Staff

2 Min Read

DUBAI, Oct 24 (Reuters) - Major stock markets in the Gulf look set to recover from Monday’s losses on positive global trend, while Saudi Arabia may react to news from a major investment conference in Riyadh.

Asian shares held within striking distance of recent decade highs on Tuesday and Japan’s Nikkei extended its 16-day winning streak to a 21-year peak, while China’s blue-chip CSI300 index jumped to the highest in more than two years.

Meanwhile, Saudi shares could react to news from a major investment conference in the kingdom, where four thousand people registered to attend and the scheduled speakers control assets worth $22 trillion, officials said.

Crown Prince Mohammed bin Salman, the 32-year-old architect of reforms designed to end Saudi Arabia’s reliance on oil exports, will make a rare public address to hundreds of bankers, businessmen and government officials from around the world at the three-day conference starting on Tuesday.

On Monday, the Saudi index fell 1.3 percent to 6,886 as banking and insurance stocks lost ground, with shares of NCB falling 4.8 percent after its third-quarter net profit came in around 5 percent below analysts’ estimates.

In Dubai, the main index may recover after real estate developer Emaar lost 2.1 percent on Monday and GFH Financial slipped 3.5 percent, in heavy trade.

In Qatar, the stock market may stay weak as there is little chance of a swift breakthrough to resolve a blockade imposed on the Gulf state by Saudi Arabia and its Arab allies.

U.S. Secretary of State Rex Tillerson, who has been mediating in the crisis, left the region on Monday with no sign of progress.

On Monday, petrochemicals, metals and fertiliser producer Industries Qatar posted a 1.6 percent drop in third-quarter net profit, according to Reuters calculations, in line with forecasts. (Reporting by Aziz El Yaakoubi; Editing by Biju Dwarakanath)